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Future of the BBC

My Lords, those things do not supply our entertainment in the same way as the BBC. Any money which is taken compulsorily from a citizen of this country is a form of taxation, whatever guise it comes under. In the 19th century there was a debate over whether some of the tithes that went to the Church of England should be distributed to other churches. This was firmly rejected because it would create a monopoly supplier. The same argument applies today just as strongly in the provision of news. Another argument against top-slicing is that the pursuit of the grant would soon eclipse the pursuit of news. If anyone doubts this, they have only to look at the National Health Service to see how, over the years, the growth of bureaucracy and administration has far exceeded the expansion of patient care. A simpler and better way to assist the independent companies would be to get rid of some or all of the many restrictions under which independent suppliers of public service television are governed. Most of these restrictions are inappropriate in a digital age. As well as being expensive, they create heavy-handed and onerous regulation. Steps such as getting rid of cross-ownership rules and giving greater freedom for the sale of advertising would be of considerable assistance to the industry, but this needs to be acted on promptly to avoid any necessity for subsidy. As my right honourable friend David Cameron and my honourable friend Jeremy Hunt in another place have both said, this party supports the principle of the licence fee and the BBC, but agreeing that something is overall a good thing does not necessarily mean full agreement with the way it is executed or with every point of detail. For example, it was disgraceful that this year, at a time when people are being made redundant and there are pay freezes extending even to public sector employees, the BBC should have taken a licence fee increase in excess of the rate of inflation. In the ever-accelerating pace of change in the world of television and media, it may well be that different methods of financing the BBC will evolve. It would certainly be nice to see the end of the bullying and unpleasantness which accompanies demands for the licence fee. Rather than waste your Lordships’ time, let me say that as far as the BBC Trust is concerned the words of my noble friend Lord Fowler are worthy of your Lordships’ consideration and attention. I urge the Minister to give the National Audit Office full access to review the BBC. The huge sums of taxpayers’ money involved and the disquiet over aspects of remuneration at the BBC make it ever-increasingly difficult to justify the BBC being exempt from the examination to which all other bodies are subject.